Ontario's energy minister plugs national power grid

In an interview as the anniversary of last year's huge blackout approaches, Duncan said he has already raised the idea informally with half a dozen provincial colleagues, and hopes to get formal discussions rolling early next year.

"I really think Canadians need to focus on the need for an east-west grid, and that we need to begin to really talk about energy self-sufficiency and energy security," Duncan said.

"I hope that Canadians will turn their attention to this and understand that we have a remarkable opportunity. My hope is that governments can come together and find ways that all of us can benefit."

Ontario is already seeking to expand links into Manitoba and Quebec.

Duncan's office is assessing a feasibility study — not yet made public — on the prospect of building a 1,250-megawatt transmission line to Ontario from the proposed Conawapa hydro development on Manitoba's Nelson River.

Ontario also wants to build a 1,250-megawatt line to carry power between Ontario and Quebec.

Big electricity transmission lines tend to connect Canadian power systems with the U.S., Duncan said.

The risks inherent in that dependence were highlighted when a power failure in Ohio blacked out most of Ontario, along with the U.S. northeast, he said. U.S. power systems have no mandatory reliability standards, unlike Canada, where standards are clearly written and power companies face fines or other sanctions if they break the rules.

An energy bill that would have created mandatory standards never made it through the U.S. Congress.

"When one looks at the American reluctance to deal in a meaningful way with mandatory reliability on the wires, and the penchant for the current American administration to build, build, build coal (generators), I think given the abundance we have in this nation of ours, we have such a remarkable opportunity," Duncan said.

Duncan would string even more lines between provinces, which he hopes would open the way for new hydro-electric development such as sites on Labrador's lower Churchill River. That development has been stalled because of a poisonous dispute between Quebec and Newfoundland over the existing power development on the upper Churchill.

Newfoundland agreed in the 1970s to sell all power from the upper Churchill to Quebec at fixed prices that are now absurdly low.

Such political disagreements would have to be addressed if Duncan's proposal is to take shape, as would the role of the federal government in any broad, national system.

But Duncan says he has already been at work, discussing his idea last week with Alberta Energy Minister Murray Smith.

"Mr. Smith's attitude was quite remarkable," he said. "They want Ontario to be prosperous. They see Ontario's prosperity as key to their prosperity."

"I've had extensive chats with my counterparts in Manitoba, a very informal brief chat with my Quebec counterpart, and there are discussions ongoing."

Manitoba's Conawapa development is especially appealing because it doesn't require extensive flooding, he said. But "there are cost issues for us; that is essentially the hang-up."

Ontario still has the potential to add 3,000 to 6,000 megawatts of hydro-electric capacity to its system, he said. The province uses about 25,000 megawatts on a day of very high demand.

New hydro developments will enable Canada to fulfil its Kyoto commitments to curb greenhouse gas emissions, Duncan said. They'll also bring economic activity — not to mention reliable electricity — to many remote aboriginal communities.

An east-west grid should also dampen power price increases in Ontario, Duncan said. Currently, when Ontario needs to import power, it must import the bulk of it from the U.S. at the prevailing price. Strong east-west connections would given Ontario a choice of suppliers when importing power and presumably a wider price selection.

"My own inclination is as Canadians, we need to work together," he said.